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Things you need to know about home-based business insurance

If you’ve made the leap into starting your own business, whether it’s a side hustle or full-time venture, it’s easy to get lost in all the details – picking a name, designing a logo and such. And while business insurance might not be on the top of that list, it’s actually an important detail that might prevent all your hard work from going down the drain one day.

Here are the top five things you need to know about insuring your home-based business:

  1. Your insurance company needs to know about your new home-based business before you launch it. While you might not see how your new venture could possibly result in an insurance claim, your insurer knows just how important it is to be covered when the unexpected happens. Not telling your broker about your home-based business (whether you make $50 or $5,000) could get you in trouble for failing to disclose an important fact that could have an impact on your insurance. So, before you launch your new home-based business, reach out to your insurance broker and find out what kind of coverage is needed for the type of home-based business you’re hoping to launch.
  2. You may be able to add home-based business coverage to your existing home insurance policy instead of buying a separate business policy. Depending on the type of business you plan to launch, you might be able to add a home-based business endorsement to your home insurance policy. Be sure to ask your broker if you qualify for this endorsement before you go shopping for a separate business policy.
  3. It’s all about liability. Whenever you’re selling something or providing a service, there’s always a “third party” involved – your customer. What if a bride slips on your front steps when she comes to pick up her wedding cake? What if you accidentally leave a pin in a handmade scarf and it hurts someone? While you might not think your stock itself is worth insuring, keep in mind that third-party liability is a big part of home-based business coverage, and it exists to help you out if you get sued by a customer.
  4. Plan ahead for over-the-border orders. If you’re planning to sell your stuff online, know that this could require special coverage – especially if you’re planning to ship your goods to customers outside of Canada. Be sure to ask your broker which areas are covered by your policy.
  5. You’ll want to protect your inventory and business equipment. Whether you hold your equipment and inventory in your home or off-site at a warehouse, you never know when a flood, fire, or other catastrophe might damage your most important business investments. With the proper insurance policy in place, you can avoid major financial losses and minimize any possible downtime for your business.

If you’re ready to get your dream start-up off the ground, the brokers and CSRs at DPM Insurance Group are here to help make sure that your investment and effort are adequately protected. Find the office most convenient for you by clicking here: https://dpmins.com/locations/

 

Source: Economical Insurance

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Blenheim Office

24 Marlborough St. N., Box 479
Blenheim, ON N0P1A0

Phone: 519-676-8159
Fax: 519-676-0020

Chatham Office

250 St. Clair St.
Chatham, ON N7L 3J9

Phone: 519-352-4343
Toll Free: 1-800-561-4949
Fax: 519-352-6484

Essex Office

29 Talbot St. N, Box 69
Essex, ON N8M 2Y1

Phone: 519-776-6457
Fax: 519-776-7400

Harrow Office

65 King St. W., Box 790
Harrow, ON N0R 1G0

Phone: 519-738-2277
Fax: 519-738-2279

Tilbury Office

59 Mill St. E, Box 1239
Tilbury, ON N0P 2L0

Phone: 519-682-0202
Fax: 519-682-2391

Wallaceburg Office

403 Wellington St.
Wallaceburg, ON N8A 2Y2

Phone: 519-627-1777

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